P11d

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moosh
moosh Registered Posts: 28 Regular contributor ⭐
in General accounting discussion
Does anyone know if I have to include professional fees paid on behalf of employees on their P11d?

We have a dispensation in place and the fees paid are to AAT, CIMA, ACCA

Are these taxable or NICable benefits?

Thanks

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  • NeilH
    NeilH Registered Posts: 553 Epic contributor 🐘
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    Hi

    What is the dispensation for? In ordinary circumstances these items are included on a P11d but as they are bodies recognosed by HMRC as professional bodies, they are not taxable or NIC-able - though HMRC often end up adjusting the tax codes anyway:thumbdown:. In fact, if someone pays their own fees they can claim it as a tax deductable expense.

    We have a dispensation whereby we are not required to include them on P11d, however, it depends on what your dispensation is for...

    Neil
  • payrollpro
    payrollpro Registered Posts: 427 Dedicated contributor 🦉
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    Moosh,

    I partly agree with Neil here, if the payment or reimbursement satisfies the revenue criteria, recognised body and required for the job there is no need to report or have a dispensation. I must admit though that for my clients i always advise them to include it on the dispensation just to be on the safe side because they do check.

    As far as I can tell the revenue adjust the allowances if the employer puts it on the P11D because they then assume the payment does not meet the criteria. It's the employers responsibility to get it right and if there is nothing wrong with the arrangement then there is no need to report.
    Payrollpro

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